Globalive joins federal government in appealing court ruling against it

TORONTO – The operator of the Wind Mobile cellphone service says it will appeal a Federal Court decision that threatens to shut the service down because it doesn’t meet Canadian ownership standards.

Toronto-based Globalive said Thursday it has also filed an applied to extend a 45-day grace period set down in the Feb. 4 decision, which found the federal government illegally intervened when it overruled a CRTC decision to block the start up of Wind Mobile

Earlier this week Industry Minister Tony Clement said the federal government will also appeal the ruling and could seek to extend the 45-day waiting period.

“Like the government, we disagree with several aspects of the Federal Court decision, and we are confident that the Federal Court of Appeal will overturn it,” said Globalive chairman Anthony Lacavera.

“Our biggest priority is to put this regulatory gaming by our competitors behind us, so that we can continue to focus on bringing wireless innovation and competition to the marketplace.”

The Federal Court had ruled that the federal cabinet had overstepped its powers when it overruled the Canadian Radio-television and Telecommunications Commission in late 2009.

“The government and Globalive have always agreed that we are fully compliant with the existing rules, and the Federal Court did not suggest otherwise. The decision was about two ‘legal errors’ in the Cabinet ruling, according to the judge. We disagree and we fully expect to prevail at the Court of Appeal,” Lacavera said.

The CRTC had ruled Globalive didn’t meet Canada’s requirement that telecommunications companies be Canadian controlled. Egypt-based telecom company Orascom owns 65 per cent of Globalive and holds the majority of its debt.